Friday, 25 February 2005

Ofcom decides against applying AIP

Notice of Ofcom’s proposals to make regulations: The Wireless Telegraphy (Licence Charges) Regulations 2005 has just been published which affects us in two ways.

Firstly, the fee increases this year will go ahead. These average 20% across the PMSE sector each year, but fall heavier on some types of assignment than others. The exact fees to be introduced this year are listed within Annex 3 of the document, starting on page 54. Secondly, Ofcom have decided against applying AIP (administered incentive pricing) to PMSE.

This is the concept by which fees would be set in future by the level of competition for PMSE spectrum from other services who might use it for other services. This is certainly good news, particularly because Ofcom says:

"AIP will not be applied to PMSE. Ofcom believes that AIP is only beneficial where the value to other uses is higher than for PMSE. However, if there is no viable alternative demand for PMSE spectrum, given the constraints placed on its usage, the efficiency foregone will be small.

Therefore the benefits of introducing AIP are low when compared with the risk that if AIP levels were too high, PMSE users might give spectrum back. That would impair broadcasting without giving rise to other benefits from the alternative use of the spectrum.

Ofcom intends to update annual fees to reflect administrative costs which would ensure that the current band manager can fulfil its duties properly."

You can find the full document here which shows that Ofcom are beginning to recognise the importance of PMSE spectrum.

Tuesday, 15 February 2005

Wednesday, 2 February 2005

First EGM

We hold our first e.g.m. After the presentation from our independent consultant, all our members agree on the need to press ahead with all urgency with our purpose of maintaining clear spectrum.